‘Human Capital’ in higher education: returns from diversity in higher education Jo Bastiaens, Ph.D.

1. ‘Human Capital’ in higher education:returns from diversity in higher educationJo Bastiaens, Ph.D. UNeCCFifthAnnual Conference Antwerp, 27th October 2011

2. Dienst & Advies Training & ConsultingEducation programs Personalgrowth, professional development, interculturallearning Human Resources & OrganizationalDevelopment Knowledgedevelopment, field based research CIMIC LessiusUniversity College Center forIntercultural Management & International Communication Research & Innovation Development of didactical tools, methods & training packages

3. Overview • Purpose • Theoretical frame of ‘humancapital’ • Multiculturalism in Belgium • Highereducationresponses • Encouragementfunds (2008-2010) • Findingsfrom the evaluationstudy • Innovativeways to further returns at institutional and individuallevels • Conclusion

4. Purpose • To explore the potential returns of investments in diversity (management) in higher education, both theoretically and empirically • Framework of ‘human capital’ theory • Based on evaluation study of HED policies and institutional practices (2008-2010) • To identify innovative ways for universities and colleges to further their cultural diversity in view of expected returns for society, institutions, and individuals • To share experiences at this UnECC forum

5. ‘Human capital’ theory • Origins in economic theory (Mincer, Schultz & Becker, ‘Chicago school) • Recognition of workforce as means of production, into which more investments yield additional output • HC=stock of acquired abilities and personality attributes • Education economists • Return on private investment for individual student (private) • Impact on (future) earnings, quality of employment • Return on public investment (public returns) • Impact on growth, fiscal incomes, employment rate & labour market • Other social scientists & educators • Relevance of HC to social goods such as democracy, health, citizenship (broadly speaking ‘human development’,Amartya Sen) • Link with concept of ‘social capital’ (Putnam)

6. Multiculturalism in Belgium • Growing cultural diversity • Over 20% of Belgians have ethnic different background • Concentration in major cities (see table next slide) • Impact on (higher) education • 20% of children in basic education from ethnic minority background – 40% is ‘streamed into’ technical & vocational types of secondary education • 50% of youngsters of ethnic minority background leave school without certificate or degree • Only 7% of students in HED is from ethnic different background • <1% teachers in (higher) education has ethnically different backgrounds

7. City Demographics Source: Center Sociological Research, KULeuven (2010)

8. HE Policy response • Sense of urgency • At level of society • At level of schools and colleges • At level of class room management • At level of individual teacher & students • Levels of intervention in higher education • External environment (links to society, other levels of education…) • System level (organization, finance, recognition of degrees…) • Institutional level (curriculum, teachers, learning environment, pr…) • Student related level (backgrounds, education goals, flexiblity…) • Institutional incentive fund for diversity and equal opportunities at universities & colleges

9. The Flemish Incentive Fund • New Financing Decree 2008 • Program earmarked to ‘encourage’ institutions: • To take measures to increase access and educational succes of underrepresented students • To plan, monitor and evaluate these measures on the basis of general outcome indicators • To contribute to the funding of these measures on the basis of a matching fund with Goverment • And to conclude bilateral agreement with bilateral agreements with the Government • Overall funding for the program 6,5 mio. Euro (0,5% of government general funds for HEI.

10. Indicators Incentive Fund • Increased access, improved education efficiency, and successful exit of underrepresented groups at institution • Strategic policy plan on diversity and equal opportunity at institutional level • Systemic collection of data (institutional research data) • Monitoring and evaluation • Participation of target groups • Sustainability by structurally embedding inclusive measures in institutional structures and policies • Exchange of expertise within the institution and with other players

11. Evaluation incentive fund • Unsufficientfunding overall but high visibility • Sharedresponsability • Room forexperimentation and institutionalinitiatives • Policyintentions of GOV • Outcomeorientation • Implementation • Project basedinterventions vs. structuralmeasures • Decentralizingprocess / integratingoutcomes • Institutionalprocess of definingstrategicpolicy • Monitoring and measuring • Lackingoperationalizedoutcome indicators • Lackingdefinition of target groups • More data oneffortsthanonoutcomes

12. Evaluation IF projects (How) Do outcomeslead to increased ‘humancapital’? • Economicaddedvalue • Educationalvalue • Professional addedvalue • Socialnetworks (cf. socialcapital) • (inter- or trans-)culturalcompetency

13. Innovative Projects • Intercultural competence • Professionalizing diversity management • Participative methods and approaches • Learning climate and facilities • Integral and integrated institutional policy • Individualized coaching, mentoring, tutoring • Design for all • Regional focus • Outreach to community • Institutional profile

14. Conclusions • Effective Intercultural Management at HEI supports, broadens and reinforces the basic tenets of ‘human capital’ theory • Further research and studies are needed on particular outcomes in relation to human capital development (e.g. impact of intercultural competence on labour market) • Sharing experiences across borders